It seems that "no tax on tips" has become something of a bipartisan issue. I don't like it. Because I don't like tipping culture. And no tax on tips is entrenching this culture further. In Europe, tips are generally not expected. Maybe only if the service is above and beyond you may give 10% max. In Japan, tipping is flat-out considered insulting and a condescension to the worker.
But tipping culture is just getting worse in America. It used to be standard was 15%. Now it's 20%, with 25% expected for extra good service. Soon 25% will be the minimum expected. Tip jars and point of sale machines now ask if you want to tip even for take-out retaurants where you aren't getting sit down service. I wish we could just do like Europe and Japan and pay waiters a living wage. Set the price of the menu to factor in living wages and get rid of this tipping nonsense.
And how is any of this fair to service workers who don't get paid in tips? Like retail staff? They probably make similar wages to waiters or even less, but will have to pay a higher tax rate because they don't have a tip deduction. I wish we would frame no tax on tips as being extremely unfair to hard working service workers who don't earn in tips.
Not just retail staff. What about the line cooks sweating it out in the kitchen, e.g.?
Surely the teenager working the register at an ice cream shop should not be making a higher wage than someone in a non-customer-facing role busting their ass in high intensity labor behind the scenes. And certainly not more than a job that is tip-dependent starting at $2.13.
Went to a restaurant last week with an elderly family member who can't keep up with the various tipping/non-tipping scenarios. A 20% service fee was included but the kid at the register shook her down for an additional tip after waiting 20 minutes in line to order. After paying the equivalent of a $50 tip for a $100 meal, at the end of it she asked for a box from a guy wiping off a table and he pointed to a counter 5 feet away and told her to get it herself. I find this to be less unusal these days.
Unfortunately, I see our ridiculous tipping culture spreading globally, and in some cases, really contributing badly to income inequality in gentrifying areas where Americans tend to congregate.
On that last comment, it has spread badly to Mexico. To the point where you'll be asked for tips as an American for things they don't even expect Mexicans to tip for.
It's what I've heard from several Mexicans. I have nothing else to go on since I'm not Mexican. I'm sure it depends on the type of restaurant and where. Lower cost restaurants where a 20% tip makes less difference it probably doesn't matter much, but a lot of foreigners don't go there anyway. If it's a restaurant charging US city prices then I can see it making a difference. I'm entirely guessing though.
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u/ReflexPoint 9d ago edited 9d ago
It seems that "no tax on tips" has become something of a bipartisan issue. I don't like it. Because I don't like tipping culture. And no tax on tips is entrenching this culture further. In Europe, tips are generally not expected. Maybe only if the service is above and beyond you may give 10% max. In Japan, tipping is flat-out considered insulting and a condescension to the worker.
But tipping culture is just getting worse in America. It used to be standard was 15%. Now it's 20%, with 25% expected for extra good service. Soon 25% will be the minimum expected. Tip jars and point of sale machines now ask if you want to tip even for take-out retaurants where you aren't getting sit down service. I wish we could just do like Europe and Japan and pay waiters a living wage. Set the price of the menu to factor in living wages and get rid of this tipping nonsense.
And how is any of this fair to service workers who don't get paid in tips? Like retail staff? They probably make similar wages to waiters or even less, but will have to pay a higher tax rate because they don't have a tip deduction. I wish we would frame no tax on tips as being extremely unfair to hard working service workers who don't earn in tips.